Tax Laws Amendment (2007 Measures No. 2) Act 2007 (78 of 2007)

Schedule 8   Venture capital

Part 1   Venture capital limited partnerships

Income Tax Assessment Act 1997

43   After subsection 118-425(12)

Insert:

Exception to requirements relating to location within Australia

(12A) A company is taken to meet the requirements of subsection (2) in relation to an investment made by an entity if the sum of:

(a) the value of the investment at the time the entity makes it; and

(b) the total value of all the other investments that the entity owns at that time that do not, or apart from this subsection would not, meet those requirements;

does not exceed 20% of the partnership’s *committed capital.

Note: See subsection (10) for the value of investments.